NASDAQ$KIDS

OrthoPediatrics Corp · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

OrthoPediatrics' Q3 2023 financial performance demonstrated strong revenue growth and increased profitability.

OrthoPediatrics Corp. reported record-setting quarterly revenue of $40.0 million for Q3 2023, a 14% increase compared to the same period last year. The company also achieved record Adjusted EBITDA of $3.6 million. They reiterated full year 2023 revenue guidance of $148.0 million to $151.0 million and raised adjusted EBITDA guidance to $4.0 million to $5.0 million for the full year of 2023.

  • Total revenue reached $40.0 million, up 14% from Q3 2022, with domestic revenue increasing by 11% and international revenue by 26%.
  • Trauma & Deformity revenue grew by 21%, while Scoliosis revenue increased by 3%; Sports Medicine/Other revenue decreased by 20%.
  • Adjusted EBITDA reached a record $3.6 million, compared to $1.9 million in Q3 2022.
  • The company launched the Pediatric Nailing Platform TIBIA system and the DF2® Brace, expanding its product offerings.

Headline financials

Total Revenue

$40M

Previous: $35M+14.4%
EPS (adj)

-$0.13

Previous: -$0.05-160.0%
Adjusted EBITDA

$3.6M

Previous: $1.9M+89.5%
Gross Margin

77.0%

Previous: 74.1%+3.9%
Capital Expenditures

-$13M

Previous: -$10.6M-23.6%
Free Cash Flow

-$17.6M

Previous: $7.99M-320.8%
Net Income

-$4.59M

Previous: $18.5M-124.8%
Operating Income

-$4.51M

Previous: -$6.96M+35.2%
Gross Profit

$31M

Previous: $25.9M+19.6%
Cash & Equivalents

$10.6M

Previous: $35.4M-70.0%
Total Assets

$432M

Previous: $430M+0.6%
R&D Expense

$2.39M

No prior period
Stock-Based Comp

$2.36M

Previous: $1.68M+40.5%

Revenue & EPS history

OrthoPediatrics · Revenue · Quarterly

$40M

Q3 2023+14.4%vs Q3 2022
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Revenue by segment

OrthoPediatrics · $40M total across 3 segments · Q3 2023

  • Trauma and Deformity
    $28.8M+20.5%
  • Scoliosis
    $10.3M+3.3%
  • Sports Medicine/Other
    $862K-20.1%

Forward guidance

The Company reiterated its revenue guidance to be in the range of $148.0 million to $151.0 million, representing growth of 21% to 23% over 2022 revenue. The Company now expects annual set deployments of approximately $23.0 million and $4.0 million to $5.0 million of adjusted EBITDA for the full year of 2023.

Tailwinds

  • Revenue guidance of $148.0 million to $151.0 million, representing growth of 21% to 23% over 2022 revenue.
  • Adjusted EBITDA guidance of $4.0 million to $5.0 million for the full year of 2023.
  • Expecting annual set deployments of approximately $23.0 million.
  • Strong balance sheet.
  • Recent product portfolio expansion.

Headwinds

  • Not enough information to provide negative guidance

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

-0.6%

Avg return

Earnings day

-1.0%

Avg return

5 days after

-0.4%

Avg return

30 days after

50%

17 / 34 earnings

Positive

+13.1%

Q2 2022

Best reaction

-13.0%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+3.8%+13.7%+14.0%
Q4 2025+8.3%+3.9%-12.8%
Q3 2025-2.6%-3.0%+9.3%
Q1 2025+4.0%+4.6%-4.5%
Q4 2024+11.9%+7.0%-0.8%
Q3 2024-7.8%-16.2%-22.3%
Q2 2024-7.8%-9.0%+3.8%
Q1 2024+5.7%-5.3%-1.9%
Q4 2023+5.4%+1.9%+0.8%
Q3 2023+4.2%-5.1%+8.9%
Q2 2023-4.6%-4.9%-7.2%
Q1 2023-7.5%-8.0%-14.4%
Q4 2022+0.5%+1.7%-0.8%
Q3 2022-13.0%-12.4%+0.8%
Q2 2022+13.1%+19.2%-0.8%
Q1 2022-10.2%-17.7%-8.1%
Q4 2021-5.8%-6.3%-2.0%
Q3 2021+2.0%+0.4%-19.4%
Q2 2021+6.9%+4.5%+9.2%
Q1 2021+10.1%+4.4%+4.4%
Q4 2020-7.1%-8.6%+2.3%
Q3 2020-6.5%+6.5%-2.1%
Q2 2020+4.7%+9.7%-0.6%
Q1 2020+2.8%+4.8%+10.0%
Q4 2019+1.1%-4.5%-19.5%
Q3 2019+5.7%+8.9%+10.6%
Q2 2019-0.2%-1.0%+10.9%
Q1 2019-9.5%-10.3%-8.3%
Q4 2018-4.3%-2.0%-6.2%
Q3 2018-12.5%-16.0%-11.4%
Q2 2018+2.7%+2.7%+23.7%
Q1 2018-1.1%+1.9%+32.0%
Q4 2017-1.9%+3.4%-2.9%
Q3 2017-11.3%-2.0%-8.5%
Q1 2017
Q4 2016
Q3 2016
Q2 2016
Q1 2016
Q1 2015

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